A whopping $1 billion in net earnings for the third quarter of 2014 has been reported by Devon Energy Corporation based in Oklahoma City. It compares to third-quarter 2013 net earnings of $429 million. The most recent earnings mean a common share of $2.48 for the quarter compared to $1.06 a common share a year ago. And adjusting for exclusions made by securities analysts, the company earned $552 million for the third quarter which is a 4 percent jump in adjusted earnings compared to the third quarter of 2013.
Cash flow from operations totaled $1.6 billion in the third quarter but combined with $2.3 biillion of pre-tax proceeds from the sale of non-core U.S. assets, the company’s total cash inflows for the quarter approached nearly $4 billion.
“With our strong position in many of North America’s best resource plays and our focused efforts to deliver high-quality performance, we saw profitability continue to expand,” said John Richels, president and CEO. He said as a result of the strong performance, the company was raising its full-year production growth outlook to 14 percent, up from the previous goal of 11 percent.
Third-quarter oil production totaled an average of 640,000 oill-equivalent barrels a day which represented a 19 percent increase year over year. It also meant the company delivered record oil production in North America with the most significant growth in the firm’s U.S. operations where oil production increased 77 percent over the year. Where did it take place? In the third quarter, the company’s Eagle Ford assets delivered prolific well results as net production rose to an average of 87,000 Boe a day in September, an increase of 76 percent compared to Devon’s first month of ownership in March 2014. Production in the Permian Basin and outstanding results from the Bone Spring play resulted in an increase to 98,000 Boe a day. That’s a 20 percent increase in Permian production compared to the third quarter of 2013.
Devon stated that revenue from oil, natural gas and natural gas liquids sales totaled $2.6 billion i the third quarter which is an elevent percent increase over the 2013 third quarter. The company credited its significant increase in oil production.